Romesh Ranganathan ‘Gutted’ as Coughlans Bakery Collapses After 89 Years

An 89-year-old family bakery has become the latest roadblock in Britain’s rising costs crisis, closing its doors for good and with it one of the most unexpected celebrity business partnerships in recent years.

Coughlans Bakery, which ran a chain of shops across Kent, Surrey, West Sussex and south London, ceased trading on Tuesday after going into voluntary liquidation. Comedian Romesh Ranganathan, who co-owned 2024 and once called the meeting “the partnership of the century”, said he was “devastated” by the fallout.

The Crawley-born presenter, known for his deadpan style, also posted a video from managing director Sean Coughlan to his 1.4 million followers with the caption: “Gutted is not a word.” Ranganathan, who is a vegan, first got into the business for a range of plant-based products.

For Coughlan, whose family business began opening ovens in 1937, the numbers just stopped adding up. He strongly criticized the government’s decision to scrap employers’ National Insurance contributions in April last year, a move that increased the rate to 15% and lowered the threshold at which employers start paying, along with a business tax bill that he said “totally crushed local businesses”. The change, set out in the National Insurance Contributions (First Class 1 Contributions) Act 2025, hits hard in labour-intensive trades such as retail and hospitality, where wage bills dominate the cost base.

Those pressures were then compounded by rising fuel prices following the recent conflict in the Middle East, which Coughlan estimated was costing the company an extra £20,000 a week. Summer heatwaves that pushed South Mpumalanga to 35C proved, in his words, “the nail in the coffin”. With consumers staying at home, weekly meals are almost halved while going out, he said, “remains exactly the same”.

Coughlan was unstinting at personal expense, and kind to a celebrity endorser. “I feel we let him down completely,” he said. “Everything he did was from the heart.” Ranganathan, he added, was “amazing”.

Love was mutual among the customers. When the comedian appeared behind the counter of the Dorking High Street branch last year, a huge queue quickly ran down the pavement. Josie Smith, who works next to the Crawley store, told BBC Radio Sussex she was “sad” to see it go on. “It involves a lot of people. It’s a big shame.” Her colleague Kaitlin Stinton praised the staff who are “dedicated to their work, always making you happy”.

Coughlan said the company chose an orderly route of voluntary sale to be able to pay suppliers and employees, a decision that speaks to an owner who is trying to do well with his people as the shutters come down. “It hurts,” she said.

Coughlan is not alone. Industry data shows three pubs, restaurants and cafes are now closing every day as tax and fees rise, while the £28bn National Insurance shock has come in well ahead of Treasury forecasts. The trade media, too, has followed suit, with Caterer among those riding the wave of food and beverage closures. With highway closures set to increase as the burden of business costs increases, the loss of a beloved 89-year-old baker will likely not be the last story of its kind this year.